About Premier Business Bank and Premier Bank of Palos Verdes

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Premier Business Bank Reports Six Consecutive Quarters of Positive Earnings

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Premier Business Bank ("Bank") is pleased to announce a record breaking six consecutive quarters of positive earnings. The Bank reported net income of $170,000 or $0.08 per share and $188,000 or $0.09 per share for the three-month periods ended September 30, 2011, and September 30, 2010, respectively. Net income for the nine-month period ended September 30, 2011 was $381,000 or $0.19 per share as compared to $486,000 or $0.24 for the same period ended September 30, 2010.

The Bank continues to be profitable. During the 3rd Quarter of 2011, the Bank recovered a $250,000 loan loss recovery and reversed $100,000 of it allowance for loan losses. The 2010 results shown above included an extraordinary gain on the sale of securities of $186,000. The Bank's operating profits remain stable and the operational infrastructure continues to strengthen resulting in improved operational efficiencies. The asset quality remains strong with no REO or non-performing assets. "The combination of a performing loan portfolio and lower cost of funds has increased the net interest margin. This increase coupled with effectively managing the non-interest expenses (G & A) has allowed the Bank to remain profitable for six consecutive quarters," stated Mr. John R. Polen, President and CEO.

The Bank continues to focus on maintaining excellent credit quality in its loan portfolio. The Bank has not charged-off any loans since 2009; and has an adequate provision for loan losses of $1.9 million, or 2.50% of total loans as of September 30, 2011. "The Bank opened its Torrance-based loan center in March 2011 to expand its business and real estate loan operations into the South Bay region where our experienced management team has strong client relationships to augment overall loan fundings," commented Mr. Polen.

Total assets were $94.0 million at September 30, 2011 compared to $92.3 million at September 30, 2010, an increase of $1.7 million. Total loans, net were $74.8 million at September 30, 2011 compared to $78.8 million for the same period in 2010, a decrease of $4.0 million.

Total deposits were $78.4 million as of September 30, 2011 compared to $77.1 million as of September 30, 2010, reflecting an increase in total deposits of $1.3 million.

The Bank's consistent operating profits for the past six quarters have contributed to its strong capital position. At September 30, 2011, the Bank had $12.3 million in shareholders' equity or a book value of $6.07 per share. The Bank's captal ratios far exceed the applicable regulatory capital requirements to be considered "well-capitalized" under the regulatory framework for prompt corrective action. Total-Risk Based Capital ratio was 17.82%, Tier 1 Risk-Based Capital Ratio was 16.55%, and Tier 1 Leverage Ratio was 13.73% as of September 30, 2011.

Premier Business Bank has a strong Los Angeles based business development team that effectively manages its current client relationships and develops new business. This year the focus continues on further developing the management and business development team to strengthen the banking platform for growth.

In October 2011, the Bank hired Debbie Richardson as Senior Vice President Corporate Development to expand the Bank's presence in South Bay area. Ms. Richardson has over thirty years experience in managing retail banking operations, marketing and community relations in the South Bay. Most recently, she was Chief Operating Officer of The Bank of Palos Verdes (I.O.). Prior to that, Ms. Richardson served as Executive Vice President, Director of Retail Banking of Malaga Bank for 21 years where she was instrumental in opening branches and expanding their presence within the community it serves.

"Now that the Premier Business Bank has a stable platform of experienced management, consistent earnings, and quality assets, the goal is to advance to the next level through a strategic growth plan. This plan would include growing the Bank's assets, continuing to generate consistent earnings, and further developing a loyal client base," stated Mr. Polen.

Premier Business Bank opened for business in July 2006. It is a full-service, high-tech business bank headquartered in downtown Los Angeles, California, and has a Loan Center in Torrance, California to serve the South Bay region. The Bank has a client centric service philosophy focused on banking relationships with small to mid-size businesses, family-owned and closely-held middle market businesses, real estate investors, professional management firms, and entrepreneurs. For more information, please visit us at www.ibankpremier.com.

Contact Information:
Randall T. Hata
Executive Vice President and Chief Financial Officer
Phone: 213-689-4800
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

This release contains forward-looking statements, such as statements about certain plans, expectations and projections which are subject to numerous risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, including the real estate market in California, the adequacy of the Bank's allowance for loan losses, and other factors beyond the Bank's control. Such risks and uncertainties could cause results for subsequent interim periods or for entire years to differ materially from those indicated. Readers should not place undue reliance on the forward-looking statements, which reflect management's view only as of the date hereof. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.